SKDS allows cash diesel claims from July 1 for transport firms awaiting fleet cards

The diesel pumps at a petrol station in Kuching. Photo credit: DayakDaily

By DayakDaily Team

KUCHING, June 24: A cash diesel reimbursement facility under the Controlled Diesel Subsidy System (SKDS) will be opened on July 1 for eligible transport companies in Sabah, Sarawak and the Federal Territory of Labuan that have yet to receive their SKDS fleet cards, allowing them to claim the price difference for diesel purchased throughout July.

Minister of Domestic Trade and Cost of Living (KPDN) Datuk Armizan Mohd Ali said the initiative is part of the nationwide implementation of targeted diesel subsidies, which also takes effect on the same date, requiring eligible public land transport and freight transport operators to use SKDS fleet cards to access subsidised fuel.

“Under the system, subsidised diesel will be priced at RM1.88 per litre for public land transport and RM2.15 per litre for freight transport,” he said in a statement today.

Armizan said the reimbursement mechanism serves as a temporary measure to assist companies that have already registered under SKDS but are still awaiting fleet card issuance from fuel companies, a process which typically takes two to three weeks due to verification and administrative requirements.

The SKDS registration process, which began for public transport on June 10, 2024 and was later extended to the freight transport sector on May 4, 2026, requires companies to register via the MySubsidi portal before applying for fleet cards using their approval letters.

“As of June 22, 2026, a total of 18,887 companies and 39,779 vehicles have registered under SKDS across Sabah, Sarawak and Labuan,” he disclosed.

Under the reimbursement mechanism, eligible companies may claim the difference between the unsubsidised retail diesel price and the subsidised SKDS rate for diesel purchases made from July 1 to July 31, 2026, or until the fleet card is received, whichever is earlier.

To qualify, applicants must have registered under SKDS and applied for a fleet card on or before June 30, 2026. Claims must be submitted via the MySubsidi portal at https://mysubsidi.kpdn.gov.my and must be supported with valid diesel purchase receipts uploaded for verification.

Approved reimbursements will be credited directly into company bank accounts by the Ministry of Finance within 15 working days after verification by SKDS administrators at KPDN.

Armizan also urged all eligible public land transport and freight transport operators in the three regions to complete their SKDS registration and fleet card applications as early as possible to ensure uninterrupted access to subsidised diesel once the system is fully implemented. — DayakDaily